India's RBI and FIU Investigate Offshore Crypto Card Services Amid User Disruptions
Offshore crypto cards are under scrutiny in India due to potential regulatory violations and user payment disruptions.
Offshore crypto cards are under scrutiny in India due to potential regulatory violations and user payment disruptions. This is an original Token Times brief based on reporting by CoinEdition, with live market data added, as of Tue, 03 Nov 2026 11:45:01 UTC.
This investigation could significantly impact how Indian residents access and use cryptocurrencies for everyday transactions, potentially limiting options for converting digital assets into fiat currency. It highlights the ongoing tension between innovation in crypto payments and regulatory oversight in India.
- RBI and FIU are investigating offshore crypto card services like RedotPay.
- Users report card deactivations and payment disruptions.
- Authorities suspect potential foreign exchange and AML violations.
- Crypto market cap at $2.64T with Bitcoin down 2.13% in 24 hours.
Offshore crypto card services that allow Indian residents to spend digital assets and withdraw cash using international wallets are facing scrutiny from the Reserve Bank of India (RBI) and the Financial Intelligence Unit-India (FIU-IND). This development comes amid reports of users experiencing card deactivations and payment disruptions.
The investigation focuses on potential violations of foreign exchange regulations and anti-money laundering (AML) policies. Authorities are examining whether these services are being used to circumvent India's strict currency controls and financial regulations.
According to Crypto.news, RedotPay is one of the platforms under investigation, though other services may also be involved. Users have reported issues with accessing funds and making payments, suggesting a possible crackdown on these services.
The broader context involves India's complex relationship with cryptocurrencies. While the country has not imposed an outright ban, it has implemented strict regulations and shown skepticism towards crypto assets. The RBI has previously expressed concerns about the risks associated with digital currencies.
The total cryptocurrency market cap stands at $2.64 trillion, with 
Bitcoin down 2.13% in the past 24 hours. The broader market is also experiencing a downturn, with the Fear & Greed Index at 26, indicating a 'Fear' sentiment. This regulatory scrutiny adds another layer of uncertainty to the Indian crypto landscape.
Figures and sectors in this story, checked live against on-chain aggregators · November 3, 2026.
Token Times reads these figures directly from on-chain aggregators (DeFiLlama, mempool.space) at build time — independent of what any outlet reported. Sector totals aggregate every protocol DeFiLlama tracks in that category. Values are live and will change.
India's RBI and FIU Investigate Offshore Crypto Card Ser — questions & answers
What are offshore crypto cards?
Offshore crypto cards allow users to spend digital assets and withdraw cash using international wallets, effectively bypassing some local regulations.
Why are Indian authorities investigating these services?
Authorities suspect potential violations of foreign exchange regulations and anti-money laundering policies.
How are users affected by this investigation?
Users have reported card deactivations and disruptions in accessing funds and making payments.
Which outlets reported this story?
This is an original Token Times brief that synthesises reporting from CoinEdition. It is not a copy of any one article — follow the source links above for the original reporting.
Original summary — not financial advice. This is an original Token Times brief that summarises a development reported elsewhere and adds live market data for context; it is not the original article and reproduces no part of it. Follow the source link above for full details. Crypto is volatile and high-risk — always do your own research.